Why FMC?

May 16, 2007

The communications market is becoming highly diversified, with providers introducing many varied innovative services. The way I see it, branded Mobile Virtual Network Operators (MVNOs), such as supermarkets or entertainment companies, are successfully attracting subscribers through non-communication sales channels, using highly competitive pricing.

Traditional wireline players and Internet Service Providers (ISPs) are introducing dual-mode WiFi / cellular offers that enable subscribers to have one number, one phone and one bill for all calls.

Internet players are developing mobile strategies using PC-based communication and messaging. Bundling service packages that combine Voice over IP (VoIP), broadband access, and mobile services are proving highly successful in winning and keeping subscribers.

Last, but not least, fixed-mobile substitution from Mobile Network Operators (MNOs) still represents strong competition to fixed communication providers, especially incumbents.

In the face of such strong and diversified competition, how can operators and service providers ensure long term growth?

FMC is an opportunity for all operators and service providers

Fixed-Mobile Convergence (FMC) is one tool that allows operators to challenge the competition, increase market share and raise ARPU by becoming a total communication supplier across fixed and mobile networks.

MNOs, ISPs, alternative operators and incumbents can all use FMC to defend their markets against any type of competition, while achieving the service differentiation and value that leads to increased revenues.

Each service provider or operator type will need to adopt a different approach and deploy services in line with their existing market position and long term objectives. FMC will be at the core of each offering and the key to its success.